Atossa Genetics (ATOS)

Business description

Based in Seattle, WA, Atossa Genetics is focused on the development of locally administered pharmaceuticals for the treatment of pre-cancer and early-stage breast cancer. Lead candidate afimoxigene topical gel is expected to start a Phase II study in 2016 in breast hyperplasia or DCIS.

Investment summary

Atossa is advancing endoxifen, a metabolite of tamoxifen, as a topical treatment for high mammographic breast density (MBD), a condition associated with higher cancer risk. Atossa is also developing oral endoxifen as a potential treatment for breast cancer patients refractory to tamoxifen. About 20-25% of the 1.0m women taking tamoxifen worldwide develop resistance to it, and have an increased risk for cancer recurrence. The firm reported positive Phase I data for both formulations, including results showing that patients obtain "steady state" serum endoxifen levels after about 7 days of daily oral dosing.

Last updated on 12/11/2018

Industry outlook

Atossa started Phase II trials for oral and topical endoxifen, and recently completed enrollment for the topical study. The firm also reported positive Phase I topical endoxifen safety data in men and is planning to start a Phase II study in men with gynecomastia. It also started preclinical studies with its IDMC to explore potential use in immunotherapy. Atossa raised $13.4m gross ($12.1m net) through a Q218 rights offering. It reported $15.2m net cash on 30 June 2018, which we believe can sustain operations until early 2020.